Research specialist Wood Mackenzie has reported a 21 per cent increase in like-for-like annual earnings in what was described as a “pivotal year” for the Edinburgh-based company.

A statement from the company outlining financial highlights – its first full-year results under ownership of US private equity firm Hellman & Friedman - notes revenues for the 2013 year to December were up 12 per cent to £218.8 million and consulting revenue rose eight per cent to £36.1 million (2012: £33.3 million).

Earnings before interest, tax, depreciation and amortisation (EBITA) are also reported to be up 21 per cent to £104.7 million (2012; £86.5 million) on reported margins of 49.2 per cent.

Operating profits rose to £82.7 million in 2013, up from £20.4 million the previous year which had also included six months of trading post 2012 acquisition.

The company notes its client subscription renewal rates have averaged 95 per cent by value in the past five years, with renewal rates in 2013 reported to be 97 per cent.

Wood Mackenzie also notes it added 91 new staff in the 2013 year, mostly in sales and distribution, taking total headcount to 923.

The company, now majority owned by US private equity firm Hellman & Friedman following a £1.1 billion acquisition in July 2012, said its success last year was down to “the transformation of its web-based services” and a “major investment in delivering a new online client portal, including a new Upstream Data Tool”.

Wood Mackenzie said it also restructured of its executive leadership team last year, which it said was “laying the foundations for sustained future revenue growth”.

“We have continued to invest heavily in new technology and talented people to ensure we are delivering the premium product clients have come to expect from us.

“By increasing our investment in digital technology we are provide our clients with faster information flows, which is reflected in the continued growth of our revenues.

“That relentless focus on delivering for our clients is reflected by our retention rates, with over 97 per cent of our research clients choosing year after year to continue their relationship with Wood Mackenzie.

“There are challenges ahead in some markets, with regulatory and economic factors potentially influencing the emphasis on certain sectors and geographies we work in.

“Wood Mackenzie remains uniquely positioned to help its clients meet the structural challenges they face with our combination of proprietary information, the knowledge of our analysts and professional consulting skills.”

Full-year results from the Wood Mackenzie parent holding company, H&F Nugent 1 Ltd - which acts as the holding company “for a number of other holding companies which ultimately own Wood Mackenzie Ltd” - has reported losses totalling £44.8 million for the 2013 year to December 31.

H&F Nugent 1 Ltd, the holding company set up by US private equity parent Hellman & Friedman, booked pre-tax losses of £27.5 million for the 2013 year and a further £12.7 million of exceptional items.

The Wood Mackenzie holding company reports turnover for the 2013 year was £212.8 million, with turnover for the six months of the previous year following its £1.1 billion acquisition amounting to £81.3 million.

Private equity group H&F, which acquired a controlling 63 per cent stake in Wood Mackenzie in July 2012 in a deal worth £1.1 billion, had also booked a loss of £29.5 million for the six months to December 31, 2013 at its Nugent 1 Ltd holding company.

The results from H&F Nugent 1 Ltd, outlining the financial gearing in it put in place to finance its £1.1 billion deal for a controlling stake in Wood Mackenzie, reveal £123.1 million in interest on debts totalling £1.2 billion in 2013 against Wood Mackenzie's reported EBITA of £104.7 million.

A further £46.6 million booked as interest and similar charges for the six months to December 31.

H&F notes interest on investor loan notes of £66.9 million in the year is “non-cash and only repayable on redemption or a refinancing event”.

Wood Makenzie's reported EBITA for the 2013 year is taken before non-recurring items – including £21.7 million in repricing and refinancing of debt and senior loan notes – and a further £329,000 charge related to foreign exchange rates.

H&F Nugent 1 Ltd notes total group borrowing totalling £1.2 billion, comprising £717.6 million in bank loans and a further £483.9 million in loan notes.

The senior debt, split into three tranches run to 2018 /19 and carry interest rates of between 4.5 per cent and 4.75 per cent above LIBOR.

A further £205.7 million million of mezzanine debt, repayable in September 2020, carries interest at 11.25 per cent over LIBOR.

Preference shareholders are also entitled to receive a “full dividend due of 12.5 per cent per annum of the subscription price in priority to any distribution to ordinary shareholders”.

The parent company said loan notes, shareholder loans and accrued interest are “long teem in nature, have no ongoing cash requirement and have a fixed repayment term date of 2022”.

H&F Nugent 1 Ltd notes audit fees for the year totalled £244,000 and a further £599,000 was paid in non-audit fees, including £549,000 in relation to tax services.

Wood Mackenzie, founded in the 1840's by an Edinburgh stockbroker, diversified in the 1970's to writing specialist technical reports on the North Sea oil sector and went on to expand into providing analysis to the global mining industry.

The company was bought out by its management from Deutsche Bank in 2004, with US private equity group Candover having increased its stake to 67 per cent before selling on to Charterhouse which had paid £553 million for Wood Mackenzie in 2009.

Charterhouse retains a 13 per cent stake in the company and the management and staff hold a 24 per cent stake.

Wood Mackenzie operates 20 offices analysing more than 150 countries and provides data to more than 800 companies.